foreclosure fraud

Why a New York Judge Is Throwing Out Foreclosure Cases

On Oct. 20, New York courts ordered attorneys for foreclosing banks to swear they'd personally confirmed that their documents are true and accurate. But a Brooklyn judge has taken things a step further. Since the banks aren't complying, he has started throwing out foreclosure cases.

Big Banks to New Jersey: Stop Bugging Us About Foreclosures

When New Jersey tightened its foreclosure rules in response to the false document crisis, it ordered the six largest servicers to explain why they should be allowed to continue foreclosing on homes. Their response: 'Trust us, everything's fine now.' If you think there's irony in that assertion, read on ...

Massachusetts Ruling Slams Bank Foreclosure Practices

The state's highest court affirmed the fundamental and long-established idea that a bank must own the mortgage it's foreclosing on before it forecloses. The ruling pertained to Wells Fargo and US Bancorp, but investors are hammering all bank financial stocks in reaction.

Florida Is Still Letting Banks Break the Rules in Foreclosure Cases

An affidavit in a court case needs to include the documents that support its claims. Except for banks in Florida foreclosure cases. Despite the massive robo-signing scandal and evidence of errors in mortgage files, judges there still merely take the bank's word about what you owe.

The Fall of Florida's 'Foreclosure King' Will Create Huge Waves

No longer such a high-flyer, the David J. Stern law firm is now being investigated and sued in a class action. The impact on pending Florida foreclosures and what the firm's underlying conduct means for the future of the state's real estate market will be felt for years.

The Foreclosure Mess: Florida Judges Can Do Better

Many judges in several states are emerging as defenders of due process and the rule of law when confronted with the banks' rampant disregard for the law in pursuing foreclosures with false paperwork. Alas, that's not so true in Florida, where a foreclosure can be heard in seconds.

Why New York Foreclosures Are Grinding to a Halt

On Oct. 20, the state's chief judge ended robo-signing by requiring a special affirmation from the banks' attorneys. The now must swear that they know the banks' documents are true because they checked the paperwork. The result: nearly empty courtrooms statewide.

Judge Rejects Wells Fargo Foreclosure Documents Again

U.S. Bankruptcy Court Judge Martin Glenn denied Wells Fargo's request for permission to foreclose on Tandala Mims's house in the Bronx for a second time on Thursday because he still wasn't satisfied that Wells -- as opposed to some other bank -- had the right to do so.

Foreclosure Fiasco: Who Owns This Mortgage?

Most people raising the issue of false mortgage documents are homeowners facing foreclosure. And in general, the banks' responses are that the paperwork issues are mere technicalities -- nothing to be concerned about. Then you find a case like that of like Wells Fargo's attempt to foreclose on Tandala Mims of New York.

Housing 2011: Unsettled, Underwater, Unsold

Housing market watchers got a bit of good news Thursday: Sales agreements for previously occupied homes rose 10.4 % in October. But that was one spark of hope against a backdrop of declining prices, bulging inventories and ongoing legal issues around foreclosures. A real estate recovery in 2011? Don't count on it.

The Database That's Clouding Millions of Titles

The mortgage industry has created a system meant to simplify the handling of loan documents. Instead, it's legally shaky, makes tracking mortgage-note ownership extremely hard and may be throw into doubt who actually controls the title of properties throughout the country.

Thousands of Pennsylvania Foreclosures on Shaky Ground?

Two Pennsylvania cases have exposed new types of document problems in foreclosure cases, and one of the cases potentially huge consequences for thousands of troubled Pennsylvania homeowners. At the center of each case is the same law firm: Goldbeck McCafferty & McKeever.

The New Bank Stress Tests Show Just How Serious the Mortgage Mess Is

This week, the Congressional Oversight Panel recommended that the nation's big banks be stress tested again, because if problems with mortgage-backed securities are widespread, the consequences could be dire. Now, the Fed has agreed to run those tests, which it wouldn't do if it wasn't worried.

Citi May Have to Refile Thousands of Forelcosure Affidavits

Citigroup Inc (C) said it may have to refile thousands of foreclosure affidavits. The bank is reviewing 10,000 affidavits executed before the company overhauled its foreclosure operation in February, Harold Lewis, a managing director with CitiMortgage said in written testimony for a congressional hearing. Bloomberg News reported his comments.

The Foreclosure Mess Is Potentially Devastating

The Congressional Oversight Panel created in the wake of TARP to oversee and monitor the Treasury Department has issued a devastatingly clear report about the mortgage mess and its legal implications, which are ugly.

Is Robo-Signing Just the Tip of the Iceberg?

In a Senate panel hearing Monday, the Iowa attorney general said the problems in the home-loan industry extend well beyond just "robo-signing." A system-wide overhaul is needed, he said.

Foreclosure Chaos Could Hurt Banks, Housing Market

Flawed foreclosure paperwork could inflict huge losses on the nation%u2019s top banks and spread chaos through the housing market, according to a congressional report. Accusations that major mortgage lenders including Bank of America Corp. (BAC), used flawed or even forged documents to foreclose on homes have worried officials in state and federal governments.

Inside a Florida Robo-Signing Document Assembly Line

Depositions by three employees of Nationwide Title Clearing describe a factory-like process that's awful to look at. But Nationwide defends the system as being benign as sausage-making -- and that it's standard industry practice. Still, much of it defies common sense, at least.

Little Sympathy for 'Besieged' Mortgage Bankers

In a compassionate Bloomberg profile of Barbara Desoer, the president of Bank of America's home loan unit, both the headline and the article call her "beseiged." But here's who's really beseiged: All those homeowners who are getting a raw deal from the banks.

Where the Foreclosure Mess Is Even More Perilous

In California, Texas and 25 other states, the robo-signing scandal and foreclosure debacle are even more dangerous because the lender doesn't have to go to court to foreclose. Except in rare instances, lenders can use fraudulent paperwork with impunity in those states.

Forget Managing Modifications. BofA Doesn't Have the Staff for Banking

A lack of staff in the face of overwhelming volume is the excuse banks give for turning to robo-signers to speed foreclosures, and for their inability to manage the the mortgage modification process. Now, a class action against BofA raises questions about its core business as well.

What's the New York State of Mind for Foreclosures Now?

Now that N.Y. Chief Judge Jonathan Lippman has considerably tightened the state's foreclosure rules, his effort to eliminate robo-signing has greatly raised the stakes for the banks' attorneys. But what will the practical impacts be?

No Foreclosure Problems at Bank of America?

After a 16-day review of its foreclosures, Bank of America has pronounced itself satisfied. It found no problems at all with any of them, and it's ready to resume processing foreclosures. Let's be blunt: That's a claim so unbelievable it doesn't pass the straight-face test. Here's why ...

What's Behind the Drop in Mortgage Applications?

The Mortgage Bankers Association said mortgage applicatins dropped 10.5% last week, the biggest drop in four months. Elsewhere -- housing starts and homebuilder confidence -- signs are more hopeful. But the mortgage mess could be a spoiler.